Corporate Presentation - Grupo Aval

2019Corporate Presentation

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Grupo Aval Acciones y Valores S.A. (“Grupo Aval”) is an issuer of securities in Colombia and in the United States, registered with Colombia’s National Registry ofShares and Issuers (Registro Nacional de Valores y Emisores) and the United States Securities and Exchange Commission (“SEC”). As such, it is subject tocompliance with securities regulation in Colombia and applicable U.S. securities regulation.

All of our banking subsidiaries (Banco de Bogotá, Banco de Occidente, Banco Popular and Banco AV Villas), Porvenir and Corficolombiana, are subject toinspection and supervision as financial institutions by the Superintendency of Finance. Grupo Aval is now also subject to the inspection and supervision of theSuperintendency of Finance as a result of Law 1870 of 2017, also known as Law of Financial Conglomerates, which came in effect on February 6, 2019. GrupoAval, as the holding company of its financial conglomerate is responsible for the compliance with capital adequacy requirements, corporate governancestandards, risk management and internal control and criteria for identifying, managing and revealing conflicts of interest, applicable to its financial conglomerate.

The consolidated financial information included in this document is presented in accordance with IFRS as currently issued by the IASB. Details of the calculationsof non-GAAP measures such as ROAA and ROAE, among others, are explained when required in this report. Full year and quarterly results for 2018 are notcomparable to previous periods due to the prospective adoption in Colombia of IFRS 9 and IFRS 15 starting in January 1, 2018.

This report includes forward-looking statements. In some cases, you can identify these forward-looking statements by words such as “may,” “will,” “should,”“expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” or “continue,” or the negative of these and other comparable words. Actualresults and events may differ materially from those anticipated herein as a consequence of changes in general, economic and business conditions, changes ininterest and currency rates and other risk described from time to time in our filings with the Registro Nacional de Valores y Emisores and the SEC. Recipients ofthis document are responsible for the assessment and use of the information provided herein. Matters described in this presentation and our knowledge of themmay change extensively and materially over time but we expressly disclaim any obligation to review, update or correct the information provided in this report,including any forward looking statements, and do not intend to provide any update for such material developments prior to our next earnings report. Thecontent of this document and the figures included herein are intended to provide a summary of the subjects discussed rather than a comprehensive description.

When applicable, in this document we refer to billions as thousands of millions.

Disclaimer

Table of Content

Macroeconomic context in Colombia and Central America

Financial system in Colombia and Central America

Evolution of our operating entities (unconsolidated)

Grupo Aval’s historical consolidated financial performance

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3

4

5

About Grupo Aval1

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About Grupo Aval

● Full-service with nationwide coverage

● Leader in the commercial lending business (16% market share (3))

● Focus on enterprise customers and affluent segments

● Leading presence in the southwest region of Colombia and in niche products such as auto loans and leasing

● Market leader in payroll loans

● Leading provider of financial solutions to government entities throughout Colombia

● Consumer-focused bank

● Targets mid-income segments of the populations

● Leading Central American bank

● Full-service financial institution with the leading credit card issuance and merchant-acquiring franchises in the region

● Leading merchant bank in Colombia

● Actively managed equity portfolio in key Colombian economy sectors such as infrastructure, energy and gas, hotels and agro-business

● Leading private pension and severance fund manager in Colombia

● Leader in assets under management (mandatory, voluntary and severances) with a 43% market share and 13.3 million affiliates

● Defines guiding principles and strategy that create value for itssubsidiaries and shareholders through multi-brand management,capital adequacy analysis, M&A execution, budget and control, riskmanagement, shared services and compliance.

Source: Company filings, consolidated figures. (1) Includes total assets and assets under management. (2) Since June 2016, Corficolombiana consolidates directly on Grupo Aval. (3) Source: Colombia’s Superintendence of Finance as of December 2018. Sum of banks and merchant banks (4) 36.5% through Banco de Bogotá and 10.4% through Fiduciaria Bogotá. (5) 24.2% through Banco de Occidente and 8.9% through Fiduciaria de Occidente. (6) Branches include 352 full service branches, 30 in-store branches, 298 on-site branches, 14 digital branches and 48 auto/drive thru branches.

Diversified Business PlatformOur Operations

We are the largest financial group in Colombia and one of theleading banking groups in Central America with over Ps. 259.7trillions in total assets and 502.5 trillions(1) in assets undermanagement

Information as of December 31st, 2018

● We have more than 15.6 million banking clients (12.1 inColombia and 3.6 in Central America) which we serve through awide banking network with 1,382 branches and 3,508 ATM’s inColombia, as well as 742 branches (6) and 2,062 ATM’s in CentralAmerica

● We are the only regionally integrated banking player in CentralAmerica

● Within our portfolio we have a merchant bank and a pensionand severance fund manager in Colombia

1

(2)

(4)(5)

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Shareholder Composition

The company has 22,281,017,159 shares outstanding

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SHAREHOLDER COMPOSITION OF GRUPO AVAL AS OF DECEMBER 31, 2018

NAME NUMBER OF COMMON SHARESNUMBER OF PREFERRED

SHARESTOTAL NUMBER OF SHARES %OWNED

ADMINEGOCIOS S.A.S. 6,092,163,513 25,309,753 6,117,473,266 27.5%

ACTIUNIDOS S.A. 3,028,922,128 687,451,726 3,716,373,854 16.7%

EL ZUQUE S.A. 561,052,547 958,153,905 1,519,206,452 6.8%

JPMORGAN CHASE BANK NA FBO HOLDERS OF DR(AVAL ADR - 1,398,845,560 1,398,845,560 6.3%

INVERSIONES ESCORIAL S.A. 1,270,118,990 - 1,270,118,990 5.7%

SOCINEG S.A 532,546,743 683,851,342 1,216,398,085 5.5%

AMINVERSIONES S.A. 631,496,256 497,711,356 1,129,207,612 5.1%

INTRASSETS TRADING S A 986,514,816 - 986,514,816 4.4%

RENDIFIN S.A 636,198,157 164,660,421 800,858,578 3.6%

INVERSEGOVIA S.A. 403,605,252 - 403,605,252 1.8%

JARA ALBARRACIN MANUEL GUILLERMO 70,152,453 262,058,754 332,211,207 1.5%

INVERPROGRESO S.A. 295,254,441 16,760,770 312,015,211 1.4%

NEGOCIOS Y BIENES S.A.S 278,007,490 13 278,007,503 1.2%

FONDO BURSATIL ISHARES COLCAP 23,476,629 187,070,688 210,547,317 0.9%

FDO DE PENSIONES OBLIGATORIAS PROTECCION MODERADO 18,246,267 138,911,972 157,158,239 0.7%

VELEZ TRUJILLO INES HELENA 4,525,733 79,722,559 84,248,292 0.4%

MULTIASSETS INVESTMENTS S A 10,249,964 68,212,418 78,462,382 0.4%

VANGUARD TOTAL INTERNATIONAL STOCK INDEX FUND - 60,701,337 60,701,337 0.3%

ABU DHABI INVESTMENT AUTHORITY J.P. MORGAN - 54,194,365 54,194,365 0.2%

PATRIMONIO AUTONOMO FC - KOV017 - 54,000,000 54,000,000 0.2%

VANGUARD EMERGING MARKERTS STOCK INDEX FUND - 49,487,050 49,487,050 0.2%

FONDO BURSATIL HORIZONS COLOMBIA SELECT DE S&P - 48,527,156 48,527,156 0.2%

ISHARES CORE MSCI EMERGING MARKETS ETF - 37,717,874 37,717,874 0.2%

SHARES AND BUSINESS INC. 37,541,216 - 37,541,216 0.2%

VOL-P30 FONDO DE PENSIONES PROTECCION - 35,475,002 35,475,002 0.2%

Other shareholders with less participation 284,744,101 1,607,376,442 1,892,120,543 8.5%

TOTAL SHARES OUTSTANDING 15,164,816,696 7,116,200,463 22,281,017,159 100%

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Our Business Model

Source: Grupo Aval’s Vice-Presidency of Strategy

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Our business model is founded in a multi-brand strategy, which allows us to materialize on the individual strengths of each of oursubsidiaries, as well as their specific experience and positioning in the different types of products, geographic locations and customerprofiles. We work in an articulated manner (capitalizing on opportunities for synergies and the transfer of best practices) and aligned tothe strategic focus of the holding company.

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Executive Officers Employees1

Our Employees

One of our main structural strengths is to have a directive and managerial team (at all levels) with the technical qualifications and idealexperience to lead the largest financial group in Colombia and Central America. To be consistent with our strategic approach, we valuethe experience, we prioritize the well-being of our employees and we encourage their professional and personal development.

Source: Grupo Aval ‘s corporate fillings. (1) Corficolombiana’s figures include 1,185 employees associated with financial subsidiaries and 11,259 employees associated with non financial subsidiaries.

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Our network in Colombia

Through our more than 26,294 points of service and with the support of 67,135 employees in Colombia, we provide services to 12.1 million banking customers and 13.3 million affiliates to our pension and severance funds.

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Source: Grupo Aval ‘s corporate information

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Our network in Central America1

Source: Grupo Aval ‘s corporate information

In Central America we have more than 11,450 points of service and 24,056 employees. We serve 3.6 million customers in the region.

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“Digital channels” in Banco de Bogotá. In 2018, transaction in

digital channels increase its participation on total

transaction from 56.5% in 2017 to 73.5% in 2018.

“Digital credit cards” in Banco AV Villas allows the online

approval of credits online and a first purchase option.

“Occiauto Digital” in Banco de Occidente is the only solution in the Colombian financial market

that approves auto loans in 7 minutes and is offered by auto

dealerships national wide.

“Digital Payroll loans” in Banco Popular approves payroll loans

in less than 10 minutes. The disbursement is made in less

than 24 hours.

Work fronts

In 2018, Aval Digital Labs was consolidated as a strategic platform that leads the digital transformation of Grupo Aval. Its purpose is togenerate value added offers that digitally empower both users and collaborators. ADL started a robust ecosystem of digitaltransformation, identifying and facilitating synergies, aligning efforts and strengthening the digital capabilities of each of our financialsubsidiaries

Advances in digital development

•Responsible for aligning the strategy and digital route, enhancing synergies, removing obstacles and developing digital talent

Strategic Team

•End-to-end transformation of user experiences with an agile way of working that delivers and evolves digital products

Digitalization•Development of an

analytical strategy aligned with the business vision that allows the implementation of predictive models

Advanced Analytics

•Generation of non-existent services or products through innovative processes

Disruptive Innovation

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About Grupo Aval1

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Real GDP annual growth (%) Expected Real GDP Growth (%)

Inflation Inflation Expectation (%)

The Colombian economy’s fundamentals are trending in the right direction (1/3)2

Source: DANE. Seasonally adjusted, constant prices of 2015 GDPSource: Bloomberg Consensus

Source: Banco de la República de Colombia and DANE. Source: Bloomberg Consensus

2.0

2.5

3.0

3.5

4.0

Jan-

18

Feb

-18

Mar

-18

Apr

-18

Ma

y-1

8

Jun

-18

Jul-

18

Aug

-18

Sep

-18

Oct

-18

No

v-1

8

Dec

-18

Jan-

19

Feb

-19

Mar

-19

Apr

-19

2019E 2020E

3.3 3.2

6.2

4.6

2.4 2.52.8

4.2

5.35.8 5.6

4.1

4.84.5

2.9 2.93.3

2.73.1

1.91.4

2.0

1.1

1.91.4

1.0

2.22.6

2.9 2.9

I II III IV I II III IV I II III IV I II III IV I II III IV I II III IV I II III IV

2012 2013 2014 2015 2016 2017 2018

3.9 4.6 4.7 3.0 2.1 1.4 2.7

1.0

2.0

3.0

4.0

5.0

6.0

Jan-

18

Feb

-18

Mar

-18

Ap

r-18

May

-18

Jun-

18

Jul-

18

Au

g-18

Sep

-18

Oct

-18

Nov

-18

Dec

-18

Jan-

19

Feb

-19

Mar

-19

Ap

r-19

2019E 2020E

3.1 3.3

2.4% 2.2% 1.9%

2.8% 3.7%4.4%

6.8%

8.6%

5.8%

4.0% 4.1%3.2% 3.2%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

Dec

-12

Jun-

13

Dec

-13

Jun-

14

Dec

-14

Jun-

15

De

c-1

5

Jun-

16

Dec

-16

Jun-

17

Dec

-17

Jun-

18

Dec

-18

12-Month inflation Lower target range

Upper target range

Mar-19: 3.21%

14

0%

3%

5%

8%

10%

4Q12 2Q13 4Q13 2Q14 4Q14 2Q15 4Q15 2Q16 4Q16 2Q17 4Q17 2Q18 4Q18

Real GDP growth Inflation Colombian Central Bank's Interest rate

4.25%

3.21%

2.9%

2%

4%

6%

8%

De

c-1

2

Jun

-13

De

c-1

3

Jun

-14

De

c-1

4

Jun

-15

De

c-1

5

Jun

-16

De

c-1

6

Jun

-17

De

c-1

7

Jun

-18

De

c-1

8

Colombian Central Bank's Interest rate (EoP) DTF(1) IBR(2)

4.49% 4.25% 4.14%

The Colombian economy’s fundamentals are trending in the right direction (2/3)2

Central Bank’s Monetary Policy

12-month average unemployment

Source: Banco de la República de Colombia. Urban unemployment defined as unemployment of 13 cities and their metropolitan areas *Last twelve month average from March 2018 to February 2019

Source: Banco de la República de Colombia. (1)Current weekly DTF rate (2) Current weekly 3-month interbank (IBR) rateSource: Banco de la República de Colombia and DANE. GDP as of December 2018. GDP Seasonally-adjusted, constant prices (2015 basis)

2014:4.7%

2015:3.0%

2016:2.1%

2013:4.6%

2012:3.9%

FYGDP

2017:1.4%

Ap

r-1

91Q19

2018:2.7%

10.4%

9.6%

9.1% 8.9% 9.2% 9.4%

9.7% 9.8%

11.2%

10.6%

9.9% 9.8% 10.0%

10.6% 10.8% 10.8%

2012 2013 2014 2015 2016 2017 2018 Feb-19

Average national unemployment Average urban unemployment

*

15

4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18

End of Period 2,392.5 2,598.4 2,598.7 3,086.8 3,149.5 3,000.6 2,919.0 2,880.1 3,000.7 2,885.6 3,050.4 2,936.7 2,984.0 2,780.5 2,930.8 2,972.2 3,249.8

Quarter Average 2,173.0 2,470.2 2,496.4 2,938.9 3,061.7 3,263.5 2,993.0 2,949.0 3,016.1 2,924.3 2,920.3 2,974.6 2,985.9 2,860.3 2,839.0 2,961.0 3,161.0

Yearly Average 2,000.7

2,000

2,200

2,400

2,600

2,800

3,000

3,200

3,400

2,746.47 3,053.42 2,951.15 2,956.55

Central Bank’s Monetary Policy

The Colombian economy’s fundamentals are trending in the right direction (3/3)

Fiscal Deficit – Fiscal Rule (% of GDP) Current Account (% GDP, quarterly)

Source: Banco de la República de Colombia y DANE.

2

Source: Ministry of Finance. Projections start in 2019.

(2.7%)

(4.4%)

(8.0%)

(6.0%)

(4.0%)

(2.0%)

0.0%

2.0%

4.0%

Dec

-14

Mar

-15

Jun-

15

Sep

-15

Dec

-15

Mar

-16

Jun-

16

Sep

-16

Dec

-16

Mar

-17

Jun-

17

Sep

-17

Dec

-17

Mar

-18

Jun-

18

Sep

-18

Dec

-18

Trade balance Current Account Deficit

Oil Exports/Total Exports

2017 2018(1.5%) (1.6%)

(3.3%) (3.8%)

2014:52.8%

2015:40.4%

2016:34.0%

2017:34.8%

2018:40.1%

Source: Banco de la República de Colombia

End of Period 8.9%

Yearly Average 0.2%

FY18 vs. FY17

(2.4)

(3.0)

(4.0)(3.6)

(3.1)(2.7)

(2.3)

(1.8)

(1.4)(1.2)

(1.0) (1.0) (1.0) (1.0)

(2.4)(2.2)

(1.8)

(1.5)(1.3) (1.2) (1.1) (1.1) (1.0)

20

14

20

15

20

16

20

17

20

18

20

19

20

20

20

21

20

22

20

23

20

24

20

25

20

26

20

27

Real fiscal deficit

Projected fiscal deficit (Mar-2019)

Projected fiscal deficit (Apr-2018)

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Central American countries continue to have a robust growth outlook, set to benefit from positive momentum in the US economy

Expected Real GDP Growth – Real GDP CAGR ’16–’19E Inflation per Country

Regional Exchange Rates Central Banks’ Interest Rates

2

Source: IMF WEO Apr-19; (*) Aggregate growth of all the Central American countries Source: SECMCA. CR: Costa Rica, ES: El Salvador, GU: Guatemala, HO: Honduras, NI: Nicaragua, PA: Panama. Central America and Nicaragua as of January 2019.

Source: SECMCA.Source: Bloomberg

3.4%

4.7%

3.0%

4.1%3.4%

2.5%1.8%

3.5%

5.7%

3.6% 3.4%2.9%

2.3%

-1.4%Central

America*Panama Guatemala Honduras Costa Rica El Salvador Nicaragua

CAGRs '15-'18 CAGRs '18-'21

90.0

100.0

110.0

Dec

-17

Jan-

18

Feb

-18

Ma

r-1

8

Apr

-18

May

-18

Jun

-18

Jul-

18

Aug

-18

Sep

-18

Oct

-18

Nov

-18

Dec

-18

Jan-

19

Feb

-19

Mar

-19

Colón Quetzal Lempira Córdoba TRM

103.9104.0

107.2

104.2105.9

(2.0%)

(1.0%)

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

Dec

-17

Jan

-18

Feb

-18

Mar

-18

Ap

r-1

8

Ma

y-1

8

Jun-

18

Jul-

18

Au

g-1

8

Sep

-18

Oct

-18

Nov

-18

Dec

-18

Jan

-19

Feb

-19

CR ES GU HO NI PA Cenam

3.3% 4.1% 4.5%

2.8% 1.5%

0.4%

(0.5%)

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

De

c-1

7

Jan

-18

Feb

-18

Ma

r-1

8

Ap

r-1

8

May

-18

Jun

-18

Jul-

18

Au

g-1

8

Sep

-18

Oct

-18

No

v-1

8

De

c-1

8

Jan

-19

Feb

-19

Ma

r-1

9

CR GU HO

5.75% 5.25%

2.75%

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About Grupo Aval1

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Source: Unconsolidated results under IFRS as adopted by the Superintendency of Finance and published on a monthly basis as of December, 2018. System: sum of banks. Grupo Aval is the sum of Banco de Bogotá, Banco de Occidente, Banco Popular and Banco AV Villas (1) Figures refer to capital of net loans and leases excluding interbank & overnight funds for comparative purposes. (2) Deposits are calculated as checking accounts, savings accounts and time deposits.

Grupo Aval continues to be a clear leader in the Colombian market

Combined Unconsolidated Market Shares of our Colombian Banks as of December 31st, 2018

AssetsNet Loans (1)

Deposits (2) Net Income

3

Figures in Ps. trillion

37.8%

28.1%

12.4%

5.7%

Grupo Aval Ba nco lo mbia Daviviend a BB VA Colom bia

System: COP$ 9.7

COP$ 3.7

27.3%23.9%

13.2% 11.9%


System: COP$ 383.8

COP$ 104.9

26.4%24.9%

13.7%10.0%


System: COP$ 627.3

COP$ 165.7

25.2% 26.1%

15.5%

10.2%


System: COP$ 416.3

COP$ 104.9

19

Through BAC Credomatic, Grupo Aval is the largest and one of the most profitable regional players in Central America

Central America Market Share as of December 31, 2018

AssetsNet Loans

Deposits Net Income

3

Source: Company filings. Calculated based on publicly disclosed data aggregated from the local Superintendencies of Costa Rica, Honduras, El Salvador, Guatemala, Nicaragua and Panama. BAC Credomatic’s

net income reflects BAC Credomatic International’s results, since it acts as the regional holding company in Panama. Market share is determined based on the sum of each bank’s consolidated operations in the aforementioned countries. Bancolombia includes Banistmo (Panama), Bancolombia (Panama), Grupo Agromercantil (Guatemala) and Banco Agricola (Salvador).

9.4%

7.9% 7.3%6.3%


System: US$ 166.2bn

US$ 15.7bn

15.7%14.4%

8.8%7.1%


System: US$ 2.8bn

US$ 404mm

9.3%

7.8% 7.7%6.9%


System: US$ 244.8bn

US$ 22.8bn

10.1%9.0%

7.6%

5.9%


System: US$ 154.3bn

US$ 15.7bn

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About Grupo Aval1

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2.6 3.1 3.0

2.5

3.7

2014 2015 2016 2017 2018

45.9%

Net loans and financial leases Assets

Deposits Liabilities

Our combined Colombian operation has shown strong results in the past years… (1/3)

4

Equity Net income

Combined Unconsolidated Results of our Colombian Banks as of December 31st, 2018 (Ps. Trillions)(1)

Source: Company filings. (1) Aggregated unconsolidated results of Grupo Aval banks. Figures for 2014 are reported under Colombian Banking GAAP. Figures for 2015 and over are reported under IFRS as adopted by the Superintendency of Finance. (2) Excludes the non-recurring effect of Ps. 729.8 billion driven by the reclassification of Banco de Occidente’s investment in Corficolombiana from its available for sale portfolio to its trading portfolio, and by the sale of part of these shares to Grupo Aval. (3) Excludes PS 236.2 billion extraordinary effect of dividends and equity method during the first half of 2015. (4) Adjusted for the non-recurring effect of Ps. 2.2 trillion associated with the deconsolidation of Corficolombiana at Banco de Bogotá.

LTM Growth

125 141 146 152 166

2014 2015 2016 2017 2018

9.1%

80 86 94 101 105

2014 2015 2016 2017 2018

4.3%

103 118 122 127 139

2014 2015 2016 2017 2018

9.0%

(2)(3) (4)

80 93 99 102 105

2014 2015 2016 2017 2018

2.8%

22 22 24 25 27

2014 2015 2016 2017 2018

8.0%

22

Net interest margin Fee income ratio

Efficiency and Cost to assets Cost of risk

Our combined Colombian operation has shown strong results in the past years… (2/3)

ROAA ROAE

4

Source: Company filings. Figures for 2014 are reported under Colombian Banking GAAP. Figures for 2015 and over are reported under IFRS as adopted by the Superintendency of Finance. (1) Net Interest Income on Loans to Average loans and financial leases; (2) Net Interest income on fixed income securities, net trading income from equity and fixed income investment securities held for trading through profit and on interbank and overnight funds to Average securities and Interbank and overnight funds; (3) NPLs are +90 days for commercial, consumer and microcredit loans and +120 for mortgages loans. Figures exclude interest accounts receivable. (4) Combined figures for 2014 exclude the non-recurring effect of Ps. 729.8 billion driven by the reclassification of Banco de Occidente’s investment in Corficolombiana from its available for sale portfolio to its trading portfolio, and by the sale of part of these shares to Grupo Aval. (5) Combined figures for 2015 were adjusted for the Ps. 236.2 billion extraordinary effect of dividends and equity method during the first half of the year (6) Combined figures for 2016 were adjusted for the non-recurring effect of Ps. 2.2 trillion associated with the deconsolidation of Corficolombiana at Banco de Bogotá.

6.05% 5.83% 5.76% 6.14% 6.03%

2014 2015 2016 2017 2018

NIM on loans (1)

NIM on investments (2)

6.75% 6.38% 6.38%

0.76%2.25%2.48%

6.75%

1.02%

6.66%

1.40%

2.1% 2.3% 2.1%1.7%

2.4%

2014 2015 2016 2017 2018

13.0% 14.5% 12.7%10.5%

14.9%

2014 2015 2016 2017 2018

1.3% 1.5% 1.8%2.4% 2.4%

2014 2015 2016 2017 2018

1.82%1.60%1.66% 2.72% 2.93%

53.2%50.7% 51.1% 52.6% 53.4%

2014 2015 2016 2017 2018

Cost to assets

2.8%2.7%2.9% 3.1% 2.9%

10.2%11.7% 12.1% 11.6% 11.1%

2014 2015 2016 2017 2018

Calculated as net income divided by average equity attributable to owners of the parent company (Averages of 12 monthly averages for years)

Calculated as income before non-controlling interest divided by average assets (Averages of 12 monthly averages for years)

Efficiency and Cost to assets: Calculated as operating expenses before depreciation and amortization divided by total operating income for efficiency and divided by average total assets (Averages of 12 monthly averages for years) for cost to assets. Excludes costs that do not impact Grupo Aval’s consolidated financials for Ps. 41 bn in 2014, Ps. 50 bn in 2015, Ps. 52 bn in 2016, Ps. 214 bn in 2017 and Ps. 264 bn in 2018.

Cost of Risk: Impairment loss net of recoveries of charged-off assets divided by average gross loans excluding interbank and overnight funds (Averages of 12 monthly averages for years)

NPLs +90 days (3)

NIM calculated as Net interest income divided by total average interest-earning assets (Averages of 12 monthly averages for years) Fee Income ratio: net fee income divided by total operating income before net provisions excluding other operating income

(5)(4)

(4)(5)

(6)(6)

23

Yield on Commercial Loans Yield on Consumer Loans

Yield on Loans Cost of funds

Our combined Colombian operation has shown strong historic results in the past years… (3/3)

Yield on Investments Spread (Loans – Funds)

4

6.7% 6.4% 6.4% 6.8% 6.7%

2014 2015 2016 2017 2018

Calculated as Yield on Loans minus Cost of Funds

Source: Company filings. Figures for 2014 are reported under Colombian Banking GAAP. Figures for 2015 and over are reported under IFRS as adopted by the Superintendency of Finance.

Calculated as net Interest income on fixed income securities, net trading income from equity and fixed income investment securities held for trading through profit to Average securities (Averages of 12 monthly averages for years)

Yield on Loans calculated as loan portfolio interest excluding interbank & overnight funds divided by total average loans (Averages of 12 monthly averages for years)

Cost of funds calculated as total interest expense divided by total funds. Funds includes deposits, interbank borrowings and overnight funds, borrowings from banks and others, bonds and borrowings from development entities (Averages of 12 monthly averages for years)

9.8% 9.8%11.5% 11.4% 10.4%

2014 2015 2016 2017 2018

3.1% 3.4%5.1% 4.6% 3.8%

2014 2015 2016 2017 2018

5.2% 5.4% 5.8% 5.5% 4.6%

2014 2015 2016 2017 2018

7.3% 7.5%

9.8% 9.3%7.8%

2014 2015 2016 2017 2018

15.7% 15.2% 15.7% 16.1% 15.6%

2014 2015 2016 2017 2018

Yield on Commercial Loans calculated as commercial loan portfolio interest income excluding interbank & overnight funds divided by total average loans (Averages of 12 monthly averages for years)

Yield on Consumer Loans calculated as consumer loan portfolio interest income excluding residential mortgages divided by total average loans (Averages of 12 monthly averages for years)

24

Net loans and financial leases Assets

Deposits Liabilities

Our Central American operation show a strong track record of growth (1/3)

Total Equity Net income (US$m)

BAC Credomatic as of December 31st, 2018 (US$Bn)

4

LTM Growth

324 319 343 374 404

2014 2015 2016 2017 2018

8.1%

11.4 12.9

14.1 15.2 15.7

2014 2015 2016 2017 2018

3.1%

17.4 18.7 20.0 22.0 22.8

2014 2015 2016 2017 2018

3.3%

11.4 12.3 13.2 14.9 15.7

2014 2015 2016 2017 2018

5.0%

15.1 16.5 17.7 19.4 20.1

2014 2015 2016 2017 2018

3.5%

2.2 2.2 2.4 2.6 2.7

2014 2015 2016 2017 2018

2.4%

Source: Company filings. Unaudited figures. Figures for 2014 are reported under US GAAP. Figures for 2015 and over are reported under IFRS.

25

Net interest margin Fee income ratio

Efficiency and Cost to assets Cost of risk


ROAA ROAE

4

17.7%15.2% 14.5% 14.8% 15.3%

2014 2015 2016 2017 2018

2.0% 1.8% 1.8% 1.8% 1.8%

2014 2015 2016 2017 2018

1.5% 1.5%1.9% 2.1% 2.4%

2014 2015 2016 2017 2018

1.17%1.04%1.10% 1.19% 1.34%

54.8% 56.2% 54.7%51.3% 50.8%

2014 2015 2016 2017 2018

Cost to assets

5.1%5.1%5.0% 4.8% 4.8%

34.0% 35.8% 36.0% 36.6% 36.4%

2014 2015 2016 2017 2018

7.05% 6.96% 6.91% 6.61% 6.54%

2014 2015 2016 2017 2018

NIM on loans (1)


7.90% 7.72% 7.72%

0.80%1.33%1.56%

7.52%

0.56%

7.40%

0.87%

Calculated as net income divided by average equity attributable to owners of the parent company (13 months average for years of equity attributable to owners of the parent company)

Calculated as income before non-controlling interest divided by average assets (13 months average for years)

Efficiency and Cost to assets: Calculated as operating expenses before depreciation and amortization divided by total operating income for efficiency and divided by average total assets (13 months average for years) for cost to assets

Cost of Risk: Impairment loss net of recoveries of charged-off assets divided by Average gross loans excluding interbank and overnight funds (13 months average for years)

NIM calculated as Net interest income divided by total average interest-earning assets (5 quarters average for years) Fee Income ratio: net fee income divided by total operating income before net provisions excluding other operating income

NPLs +90 days (3)

Source: Company filings. Unaudited figures. Figures for 2014 are reported under US GAAP. Figures for 2015 and over are reported under IFRS. (1) Net Interest Income on Loans to Average loans and financial leases; (2) Net Interest income on fixed income securities, net trading income from equity and fixed income investment securities held for trading through profit and on interbank and overnight funds to Average securities and Interbank and overnight funds; (3) NPLs +90 days exclude interest accounts receivable.

26

Yield on Commercial Loans Yield on Consumer Loans

Yield on Loans Cost of funds


Yield on Investments Spread (Loans – Funds)

4

7.0% 6.7% 6.6% 6.4% 6.3%

2014 2015 2016 2017 2018

4.2% 4.2% 4.3% 4.4% 4.5%

2014 2015 2016 2017 2018

11.2% 11.0% 10.9% 10.8% 10.8%

2014 2015 2016 2017 2018

Calculated as Yield on Loans minus Cost of Funds

Source: Company filings. Unaudited figures. Figures for 2014 are reported under US GAAP. Figures for 2015 and over are reported under IFRS.

Calculated as net Interest income on fixed income securities, net trading income from equity and fixed income investment securities held for trading through profit to Average securities

Yield on Loans calculated as loan portfolio interest excluding interbank & overnight funds divided by total average loans (5 quarters average for years)

Cost of funds calculated as total interest expense divided by total funds. Funds includes deposits, interbank borrowings and overnight funds, borrowings from banks and others, bonds and borrowings from development entities (5 quarters average for years)

4.9% 4.6% 4.0% 3.8% 4.3%

2014 2015 2016 2017 2018

7.0% 6.6% 6.6% 6.7% 7.0%

2014 2015 2016 2017 2018

18.6% 18.2% 17.8% 17.2% 16.6%

2014 2015 2016 2017 2018

Yield on Commercial Loans calculated as commercial loan portfolio interest income excluding interbank & overnight funds divided by commercial loans (5 quarters average for years)

Yield on Consumer Loans calculated as consumer loan portfolio interest income excluding residential mortgages divided by consumer average loans (5 quarters average for years)

27

47.7%49.8%

47.4%

56.2%

Dec-15 Dec-16 Dec-17 Dec-18

55.2% 56.2%

29.4%

56.2% 56.5%

28.8%

57.0% 56.1%

26.8%

57.3% 55.8%

25.0%

Man

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54.8% 55.6% 55.9% 55.9%

44.2%49.3%

23.0%

44.2%48.9%

23.2%

44.2%48.3%

22.6%

44.2%48.2%

22.2%

Man

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Seve

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Vol

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Ma

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ry

Sev

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Vol

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Man

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42.9% 43.0% 42.9% 42.8%

Assets Under Management and profitability (Ps$ tn)

Porvenir is the leading private pension and severance fund manager in Colombia

Affiliates to Pension Funds (Market Share) Net Income (Market Share)

Assets Under Management (Market Share)

Source: Superintendency of Finance. Information compiled for private pension funds (AFP) only.

*Calculated as net income divided by average equity (12 months average equity)


Mandatory 73.7 84.4 100.4 103.7

Severance 4.0 4.5 5.1 5.2

Voluntary 3.1 3.4 3.9 4.0

Total AUMs 80.8 92.3 109.3 112.9

Net Income (Ps bn) 277 355 422 360

ROAE* 22.3% 25.3% 25.5% 19.1%

Total AUM’s

Total AUM’s

28

19.5 20.5 21.1 26.2

-

5.0

10.0

15.0

20.0

25.0

30.0

Dec-15* Dec-16* Dec-17 Dec-18

Corficolombiana invests in multiple industries reflecting the Colombian economy

Figures in Ps. Trillions under IFRS

Assets Equity Net Income (Ps. billions)

Asset composition by sectors as of December 31, 2018

4

Net income by sector as of December 31st, 2018

Source: Company filings under IFRS as issued by IASB.

(*) Figures reflect the impact of IAS 27 and IAS 28 adoption. CRDS and Electricaribe impairment impact

404.1 399.5 1,756.6396.7 401.6 1,756.6

Energy and gas39.9%

Hold Co. & others

24.0%

Agribusiness2.5%

Infrastructure30.2%

Hotels3.4%

Total Assets $ 26.2 tn

4.5 4.9 5.2

8.1

-

1.0

2.0

3.0

4.0

5.0

6.0

7.0

8.0

9.0


445.9 294.4 212.9

1,620.2

102.3 188.7

136.4

-

200. 0

400. 0

600. 0

800. 0

1,000. 0

1,200. 0

1,400. 0

1,600. 0

1,800. 0

2,000. 0


Table of content





2

3

4

5

About Grupo Aval1

30

Grupo Aval’s diverse sources of value generation

Business Composition

Source: Consolidated and audited company filings under IFRS. (1) Companies that consolidate into Banco de Bogotá (2) Includes attributable equity and minority interest (3) Net income for the last 12 months ended as of December 31,2018

By Assets

By Net Income

Geographic Business

(3)

Information as of December 31st, 2018

Key Figures in Ps. Billions as of December 31, 2018

5

Geographic Business

Centra l

America30%

Colombia70%

(1)

Net Loans 111,018 26,997 18,287 11,028 2,576 168,686

Assets 163,303 38,922 24,649 14,207 26,241 259,675

Deposits 108,405 25,592 17,571 11,425 3,805 164,359

Liabilities 143,635 34,415 21,758 12,587 18,122 230,121

Total

equity (2) 19,668 4,506 2,891 1,620 8,119 29,554

Merchant

Banking 10%

Commercial and retail banking 89%

Pens ion funds1%

Merchant Banking 21%

Commercial and retail banking 69%

Pens ion funds 9%

Centra l America

28%

Colombia

72%

31

1.8 2.0 2.1 2.0

2.9

2014 2015 2016 2017 2018

48.4%

2 2 2 2

Net IncomeAttributable Equity

Liabilities

Grupo Aval’s track record of consolidated results (1/2)

Source: Company filings. Figures for 2014 and over are reported under IFRS. (1) Figures refer to net loans and leases including interbank & overnight fund, includes adoption of IFRS 9 on January 1, 2018 for Ps 1.2 trillion.

Figures in Ps. Trillions under IFRS as December 31st, 2018

Net Loans and leases (1) Assets

Deposits

5

LTM growth

114 142 151 161 169

2014 2015 2016 2017 2018

4.9%

179 217 224 237 260

2014 2015 2016 2017 2018

9.8%

114 136 144 155 164

2014 2015 2016 2017 2018

6.1%

157 194 199 211 230

2014 2015 2016 2017 2018

9.2%

14 15 16 16 18

2014 2015 2016 2017 2018

9.2%

Figures adjusting for one-time payment of attributable wealth tax of Ps. 208.7 billion, Ps. 181.5 billion and Ps. 69.1 billion for 2015, 2016 and 2017, respectively.

2.3 2.3 2.0

32

Grupo Aval’s track record of consolidated results (2/2)

ROAEROAA

Efficiency

Charge-offs/Average gross loans

Net Interest Margin Fee income ratio

Cost of risk

5

46.2% 47.6% 47.3% 46.5%43.1%

2014 2015 2016 2017 2018

Cost to assets

3.5%3.3% 3.5% 3.5%3.4%3.3%

5.46% 5.38%5.59% 5.92% 5.67%

2014 2015 2016 2017 2018

NIM on Loans(1)


6.48% 6.93%6.57%

0.63%1.91% 0.67%

6.71%

0.60%

6.33%

1.25%

6.48%

1.91%

NIM calculated as Net interest income divided by total average interest-earning assets (for 2015, 2016, 2017 and 2018 according to 20-F).

25.2% 26.1% 26.2% 26.4%24.5%

2014 2015 2016 2017 2018Fee Income ratio: net fee income divided by total operating income before net provisions excluding other operating income.

1.4% 1.5%1.9%

2.5% 2.4%

2014 2015 2016 2017 2018

1.95%1.74% 2.75% 3.07%1.66%1.74%

Cost of Risk: Impairment loss net of recoveries of charged-off assets divided by Average gross loans excluding interbank and overnight funds (for 2015, 2016, 2017 and 2018 according to 20-F).

PDLs+90 days(3)

1.3% 1.3%1.6% 1.7% 1.9%

2014 2015 2016 2017 2018

1.8%1.7% 1.6%

1.4%

2.2%

2014 2015 2016 2017 2018

1.8% 1.4% 1.7%1.7% 1.5%

Calculated as income before non-controlling interest divided by average (for 2015, 2016, 2017 and 2018 according to 20-F).

15.2% 14.6% 14.3% 12.6%17.8%

2014 2015 2016 2017 2018

16.0% 15.5%13.0%15.5% 13.5%

Calculated as net income attributable to owners of the parent company divided by average equity attributable to owners of theparent company (for 2015, 2016, 2017 and 2018 according to 20-F).

Efficiency and Cost to assets: Calculated as operating expenses before depreciation and amortization divided by total operating income for efficiency and divided by average total assets (for 2015, 2016, 2017 and 2018 according to 20-F) for cost to assets. Both calculations exclude the full wealth tax from operating expenses.

Source: Company filings. (1) Net Interest Income on Loans to Average loans and financial leases; (2) Net Interest income on fixed income securities, net trading income from equity and fixed income investment securities held for trading through profit or loss and on interbank and overnight funds to Average securities and Interbank and overnight funds; (3) PDLs +90 days include interest accounts receivable.

33

Recent evolution of our banks’ consolidated solvency ratios

Consolidated Solvency Ratios of our Banks

5

Source: Consolidated figures based on company filings.

8.8% 8.9%10.5%

10.2%8.9%

7.7%

10.9%9.9%

4.8% 4.6%3.0%

2.4%

1.6% 2.4%

1.4%

0.6%

13.5% 13.5% 13.4%12.6%

10.5%10.1%

12.3%

10.5%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

Dic-17 Dic-18 Dic-17 Dic-18 Dic-17 Dic-18 Dic-17 Dic-18

Tier 1 Tier 2

149.4 163.3 37.7 38.9 22.3 24.6 12.3 14.2

82.8% 80.1% 79.0% 80.1% 88.9% 87.0% 78.8% 78.7%

16.7 17.7 4.0 3.9 2.1 2.2 1.2 1.2

Min. Tier 1

Min. Tier 2

4.5%

9.0%

Risk-weighted assets (RWA)

RWA/ Total assets

Technical capital

Figures in Ps. Trillions under IFRS as December 31st, 2018

34

Contact Information

Tatiana Uribe BenninghoffFinancial Planning and Investor Relations Vice PresidentPhone number: (571) 2419700 - Ext: 23422Bogotá - [email protected]

Karen Lorena Tabares AmadoInvestor Relations AnalystPhone number: (571) 2419700 - Ext: 23422Bogotá - [email protected]

Alejo Sánchez GarcíaFinancial Planning and Investor Relations ManagerPhone number: (571) 2419700 - Ext: 23422Bogotá - [email protected]

mailto:[email protected]



Corporate Presentation - Grupo Aval

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